Michael's Insight

NYT profiles behavioral based web ads

Retargeting Ads Follow Surfers to Other Sites [New York Times]

Have you ever had the experience of shopping on the web at a particular site, then later noticing that web ads from that retailer pop up on other unrelated pages? The New York Times has profiled the practice of behavioral-based advertising, where companies like Microsoft and Google, which run large ad networks use information captured from third-party retailers to send related ads to users.

These targeted ads are frequently achieved by the use of information about a user's browsing habits that are stored in cookies. Normally that information is only accessible by the site that created the cookie, but using so-called "third-party cookies" a user's browsing history can be shared across sites. So if you go shopping for a new car on an automobile manufacturer's web site, you might see new car advertisements popping up on an unrelated web site thanks to third-party cookies.

While some users find these targeted advertisements more helpful than non-specific ads, others are concerned about the way these ad networks can store their personal web browsing history. The Times article notes that lawmakers in Washington are aware of the practice, and are considering various legislative alternatives to regulate how web sites use behavioral based web ads.

Time shifting video grows to nearly half of viewing

Time Shifting And Online Make Up Nearly Half Of All Viewing [TechCrunch]

Time shifting video, which includes everything from DVR viewing to Netflix streaming, now makes up for almost as big a piece of the overall viewing pie as live television viewing. With all the options out there (DVDs, DVR, Online video, OnDemand video, streaming video services, etc.), fewer viewers are watching live TV (and sitting through commercial breaks).

According to a survey of 1,000 American video consumers, conducted by Morpace, 52% of all video viewing is spent on live television. The remaining 48% is divided among the other various time shifting opportunities. Of those options, DVD and DVR viewing make up the biggest portions with 14% and 12% respectively. The next tier is made up of online video, OnDemand video, and Netflix-like streaming services (9%, 6%, and 4%).

There is also an interesting, albeit somewhat expected, age disparity when it comes to time shifting video. For viewers between the ages of 18 and 34, only 41% of their overall viewing is live, compared to 64% for people 55 and over.

Morpace’s study also broke down video viewing by device and found that 59% of those surveyed admit to viewing video on a device other than a TV. Of these devices, 40% claimed to use their laptops for video and 36% use a desktop computer. Only 9% admitted to watching video on their mobile phones, with even smaller percentages for netbooks and tablets.

Research firm determines most Hulu Plus content still available for free

88% Of Hulu Plus Content Already Available For Free [Broadband Reports]

Long form streaming site Hulu recently introduced a subscription product called Hulu Plus, which offers additional older episodes of television shows already on Hulu for $10 a month. The shows on Hulu Plus contain advertising during the normal breaks, just as regular Hulu content does. However, an analysis by One Touch Intelligence suggests that nearly all of the content available on Hulu Plus is already freely available.

One Touch Intelligence reports that of the 28,418 individual show episodes on Hulu, 24,854 are still free to watch for non Hulu Plus subscribers. In other words, Hulu Plus subscribers receive access to an additional 12 percent of content - and most of that content are episodes older than the 5 episode window that the site currently allows viewers to watch for free. Of the 3,564 episodes that only are available via a Hulu Plus subscription, two-thirds are programs that originally aired on one of Hulu's broadcast content partners.

 

 

Google continues to pitch studios for movies on YouTube

Google Pitching YouTube Pay-Per-View. Anyone Buying? [NewTeeVee]

The Financial Times is reporting that Google is pitching Hollywood studios on a pay-per-view movie service for YouTube. But, as NewTeeVee points out YouTube has offered some titles for rental since the beginning of this year. YouTube launched the service in conjunction with the Sundance Film Festival with several independent films that appeared at the festival. But, the number of users that opted to pay to watch the movies came in at a disappointing 1,500 views. Adding additional movies did not generate significant growth in the number of views.

The report in the Financial Times indicates that Google wants to charge viewers $5 for each movie, and plans to provide the new titles by the end of this year.

Even though YouTube is far and away the number one video site on the Internet, it appears that Google has already had a tough time convincing users to pay for premium content.

In the race to become the next web video standard, H.264 to become royalty free

H.264 Will Be Royalty Free For Internet Video Forever, Mozilla Still Doesn't Care [Gizmodo]

In the race to define the next standard for streaming web video, the group that licenses the H.264 video codec, MPEG LA, has decided to extend the format's royalty free status for Internet video from the current expiration of 2016 until an indefinite date. MPEG LA licenses H.264 on behalf of patent holders Microsoft and Apple. The move comes in an attempt to popularize H.264 as a potential replacement for Adobe's Flash among the open source browser community. But, it doesn't look like they are interested.

Mozilla, the open-source effort behind the Firefox browser, has declined interest in pursuing H.264 in favor of Google's open-source WebM media format. Google is attempting to popularize the use of WebM as an alternative to H.264 in the HTML5 standard. So far, that strategy is working with open-source browsers like Firefox, Opera and Google's own Chrome. Microsoft is sticking with H.264 for Internet Explorer 9, but users will have the option of installing WebM support. And it's unclear whether Apple Safari will have a choice as Apple is fully behind H.264.

Facebook impacted by another spam attack

ALERT: Massive Spam Attack Hits Facebook [All Facebook]

In what seems to be a recurring theme on the Internet's most popular social networking site, a phishing spam attack is currently running rampant on Facebook. Private messages, wall posts and Facebook chats containing offers of a free iPad, mobile ringtones and IQ tests have been received by several Facebook users. These messages contain links that appear to be legitimate, but link to malicious sites that infect a user's computer and allow scammers to hijack the user's Facebook account.

According to Facebook, only a small percentage of all users are impacted by the spam that is currently spreading. But with over 500 million users worldwide, even a small percentage could be a large number of users. If you receive a suspicious message from a Facebook friend promoting a link to receive a free iPad, it's best to ignore it. As with many other scams, if the offer is too good to believe, it probably is.

Sony to release online streaming set-top box for television

Sony's Netbox streams Netflix, YouTube and other internet stuff for $130 [Engadget]

Even though Sony has hitched its wagon to Google's forthcoming television OS for it's Bravia HDTV line, it's rolling out a set-top box called the Netbox that supports streaming video but isn't loaded with Google TV. The Netbox has built-in wi-fi and runs Sony's existing Bravia Internet services that allow users to link up with several online streaming services - both paid and free. That list includes YouTube, Amazon OnDemand and Netflix.

With an external hard drive connected via the Netbox's USB port, users can watch stored video in one of several supported video formats that includes new Hi-Def MKV formated videos using the DivX player. And Sony has integrated its Xperia X10 mobile phone with the Netbox through an Android application that functions as a remote control for the Netbox. The app will be available for free to users with an Android or iOS device.

Forecasting next week's iTunes announcement

ITunes Music Update: Think Social, Not Streaming [All Things Digital]

With Apple set to make a product announcement about iTunes next week, there's lots of speculation about exactly what Apple will introduce. Expectations have been high that Apple has plans to move iTunes to the cloud, thus allowing iOS devices to synchronize content via a wireless broadband connection instead of a USB cord connected to a computer. But, while that may be in the works, a cloud-based iTunes may not be coming next week.

All Things Digital indicates that its sources are expecting iTunes to get an upgrade that links the service more closely with social media applications like Facebook and Twitter, potentially involving a web-based version of iTunes. Because many users like to share their music and video preferences on social networks, it would be easier for Apple to create this functionality without the need to renegotiate deals with content producers that might be required to move that content to the cloud.

Apple working on television show rentals from iTunes

Apple Said to Prepare New 99-Cent TV Show Rental Service [Bloomberg]

Bloomberg is reporting that Apple is working on plans to rent television shows as downloads from iTunes. The plans involve discussions between Apple and three of the four largest broadcasters. Shows would be available to download within 24 hours of their airing on traditional television for 99 cents. Users would have a rental period of up to 48 hours to watch the shows. Viewers would be able to watch the shows on their computer or iOS device.

Most cable operators already offer free video-on-demand options that provide many prime time television episodes after 24 hours of their original airing and keeps them available for weeks or months. I seems to me that that makes Apple's TV strategy quite the challenge, but I guess they think it's worth the try.

According to Bloomberg, broadcasters quashed discussions of an Apple television subscription service due to their concerns that it would undermine their determination to increase retransmission consent fees they want to charge cable and satellite providers that carry the broadcasters' local affiliates. Apple may be soon unveiling a new version of its Apple TV product, but television shows will continue to be an a la carte offering.

YouTube passes Yahoo! in site traffic

Alexa: YouTube surpasses Yahoo! as the Internet’s 3rd most visited site [The Next Web]

In another indicator that online video continues to outgrow everything else in online popularity, YouTube has passed Yahoo! in overall site traffic, moving to third among all web sites as reported by web traffic tracker Alexa. According to recent video viewing statistics, YouTube serves up more than a billion videos each month to viewers worldwide. On the other hand, Yahoo! is attempting to keep its shrinking search market share from continuing to dwindle as it loses traffic to Google and Microsoft's Bing.

Google and Facebook continue to hold Alexa's number one and two spots on the list of most visited sites respectively. YouTube, which is owned by Google, dominates online video sites, as there is not a single other online video site in Alexa's top ten list.

Facebook Places friend tagging creates privacy concerns

Discontent Grows With Facebook Places’ Ability To Tag Without Users’ Express Permission [TechCrunch]

It probably was only a matter of time until Facebook found itself in hot water with its users over privacy issues with its new location tagging function. Announced last week, Facebook Places allows users to check in their location as part of a status update, using a mobile device with built-in GPS. One of the underreported features of Facebook Places is the ability for users to also check on their Facebook friends at their current location by tagging them in much the same way that users can now tag their friends in photos and movies.

By default, users' privacy settings allow their friends to tag them at a location in Facebook Places, but a notification is sent the first time a friend attempts to check on another user, allowing them to opt out of being tagged at a location. As one might imagine, many users were concerned to learn that their Facebook friends could broadcast their location data to the world with little in the way of privacy controls.

For its part, Facebook tells users that they're notified and able to remove any location tag after it's published.

TiVo to begin tracking online video viewing via broadband connected set-tops

TiVo To Track Broadband Video Watching On TV [Multichannel News]

350,000 Broadband-connected TiVo users will soon have their streaming video usage tracked as part of an anonymous and random sample for the company's StopWatch service. The service currently tracks metrics on channel and ad viewing for TiVo users, and now it will measure online video usage. Broadband connected TiVo set-tops have access to a number of subscription online video services and web sites like YouTube.

The new online video tracking is set to begin next next month, aimed at giving advertisers a more accurate read on whether viewers are watching traditional television or online video at any given moment and which viewers are watching advertisements on either platform. While TiVo's system will track online video viewing via the company's set-tops, it won't be able to tell when users are watching online video via a computer or mobile device in the home.

First look at Google TV underwhelms NewTeeVee

An In-Depth Look at the Google TV Interface [NewTeeVee]

NewTeeVee has some of the first screenshots and video of the Google TV product, which is set to be out later this year on some Sony televisions and a Logitech set-top device. Google TV is based on the company's popular Android operating system for mobile devices. NewTeeVee's verdict is that the initial look has some interesting features but doesn't appear to be ready yet for prime time.

As with many Google products, search is an integral feature, and Google TV allows users to search across TV and video content along with the ability to search the web. A feature called Google Queue provides viewers with a list of all content available for playback, including video content and podcasts. But that begs the question why a user would want to listen to audio podcasts on a HD television when they can more easily download that content to a portable audio player or smartphone?

YouTube is also integrated into Google TV, but NewTeeVee points out that selecting a YouTube video to play simply pops up the video in a web page. Users must manually select to view the video in HD or full-screen modes. And unlike Android on mobile devices, there's not much in the way of third-party apps for Google TV.

It remains to be seen whether other television manufacturers pick up Google TV as Sony has, and whether consumers flock to the interface in the way that many have embraced Google's mobile OS. At first glance, it appears that Google still has a long way to go toward improving their interface to offer the kind of revolutionary TV viewing experience the company promised at Google TV's announcement. 

MSNBC uncovers misleading HDMI lableling

Buyer beware: Misleading HDMI cable labels suggest needless upgrades [MSNBC]

Currently, HDMI (High-Definition Multimedia Interface) is the most popular method of moving uncompressed HD content from set-tops, Blu-ray players and the like to HD televisions. The HDMI standard was created and is maintained by a group of seven consumer electronics manufacturers, known collectively as the HDMI Founders. As it turns out though, MSNBC has found that some cable manufacturers are adding "specifications" to HDMI cable packaging that aren't part of the actual HDMI standard in an attempt to confuse customers into thinking there are different HDMI performance levels.

For instance, MSNBC found that several cable makers label their HDMI cables with refresh rates of 240 to 600 Hz, claiming that they deliver a superior picture on sets with higher refresh rates, even though the signal transmitted by HDMI never exceeds 60 Hz.

The HDMI standard has two categories that cables can be grouped into standard and high speed. All cables in each category transmit the same quality picture to a HD television, though the materials and manufacturing can affect a cable's durability over time.

Windows 7 use surpasses XP

It’s official: Windows 7 is a hit, and XP is finally in decline [ZDNet]

Windows 7 has been around for almost a year now and reports are showing that it now finally surpassing Windows XP in terms of usage, something Vista never could achieve. Microsoft is reporting Windows 7 sales of roughly 30 million copies per month and projecting a total of 350 million licenses sold by the end of the year. 

Oddly enough, everyone is being rather quiet about Microsoft’s success with Windows 7. It obviously makes sense that competitors are being quiet. However, the silence from Microsoft is a little less expected, particularly considering they haven’t seen this type of operating system success since Windows XP.

Speaking of Windows XP, Windows 7 has finally surpassed XP as Microsoft’s most used operating system. Windows Vista never came close to XP’s usage numbers and ended up declining at a much faster rate after being weighed down by floods of complaints.

Facebook announces location sharing

Facebook unveils location-sharing feature 'Places' [CNET News]

Looking to emulate other successful location-based social networking sites like Foursquare and Gowalla, Facebook announced their own location sharing feature yesterday, named Facebook Places. Facebook's 500 million plus users will now have the option of sharing their current location with their Facebook friends. Privacy features will allow users to control exactly who can see those location updates, and Facebook is releasing new versions of its mobile apps that integrate the new location-based feature. Mobile apps take advantage of a device's GPS sensor to automatically determine the user's location.

Facebook is going to offer developers access to a Places API, allowing Facebook apps to make use of user locations. And the social network is working with other location-based sites to integrate Places into their services. 

And while Google also announced yesterday that they have surpassed 100 million users on their mobile Maps application, which includes a location-sharing feature called Latitude, Facebook may be planning to give them a run for their money with its larger mobile user base and new location service.

Google meeting resistance from broadcasters on Google TV

Google TV Is a Tough Sell Among Would-Be Partners [WSJ]

Google is learning just how complicated it is to enter the television business with a whole new economic model.  The company has been meeting with television networks and programmers in an attempt to create partnerships for their new Google TV product. Google TV is set to be released in a few months as an operating system for Sony TVs and a Logitech set-top box that will allow viewers to watch any web video on their TV screen. The product will be based on Google's successful Android mobile operating system. 

But, Google has begun to realize that the networks are not too excited about having their programming on Google TV. Google’s biggest selling point to the networks is turning into the biggest hang-up for some networks. Google is telling the networks that their service will enhance the viewer experience with programming by offering related videos and information about the show the viewer is watching. The networks see this as a potential negative because they fear their programming could get lost in the sea of online videos, which could include pirated versions, undermining the value of their programming. 

So far, Google has not signed up any programming partners for Google TV, and the Wall Street Journal reports that some are concerned enough about the product that they are contemplating blocking their video content from devices running Google TV.

For Google, now comes the hard part.  They blasted onto the scene by inventing a whole new thing -- a revenue-generating  Internet search engine .  Now they're experiencing just how difficult it is to recreate existing businesses.

Intel purchases TI cable modem chip technology

Intel acquires TI’s cable modem unit, might be sneaking into your AV rack [Engadget]

Intel has been working for several years to diversify their chip manufacturing operations beyond computer CPUs, and one of the markets they've been working on are set-top entertainment systems and cable modems. 

To further those ambitions, Intel recently purchased the Texas Instruments cable modem division. Intel is hoping this acquisition gives them the ability not only to become an important component manufacturer for cable modems but to create advanced cable set top boxes and gateways. The developments from Intel will combine its SoCs (system-on-chips) with the Texas Instrument line of Puma products featuring DOCSIS 3.0. 

If successful, this transaction may produce new set-top boxes in the coming years that provide advanced services, powered by Intel processors and connected to cable's speedy broadband service.

Wired magazine article highlights decline of web browsing as a percentage of Internet traffic

Wired Declares The Web Is Dead—Don’t Pull Out The Coffin Just Yet [TechCrunch]

Wired magazine has decided to declare the World Wide Web on life support as part of a cover story for its September issue, based on data provided by Cisco's Visual Networking Index tracking HTTP usage as a percentage of overall Internet traffic over the past twenty years. According to Wired, from 1990 to 2000, Web traffic shot up from nothing to become over half of all Internet transmissions. But from 2000, that share has declined to 23 percent today, pushed down by streaming video and peer-to-peer protocols.

P2P experienced its own surge in popularity during the last decade, but now sits at 23 percent also, while video has exploded to represent over half of all Internet traffic. That number might be a bit misleading, though, as TechCrunch discovered that Wired lumped all YouTube traffic into the video category, even though it is largely viewed through a web browser. The video category also includes things like Skype video calls and Netflix streaming movies. 

Wired's story appears to center on the fact that Internet users are largely starting to consume information in other ways than through a web browser - via apps on iOS devices and through broadband connected televisions, representing a significant transition in the way we use the Internet.

HBO rejects Netflix offer, moving forward with content on the iPad

Netflix Lust for ‘True Blood’ Is Unrequited as HBO Blocks Path [Bloomberg]

HBO is focusing on growing its HBO Go service, and has no interest in sharing its exclusivity deals any time soon. The premium Time Warner channel currently has exclusive rights to air films from Warner Bros., Twentieth Century Fox, and Universal Pictures via cable and Internet.

When Netflix recently struck a deal with Epix, which holds similar rights for Paramount, Lions Gate, and MGM films, the question of whether a similar deal would be reached with HBO was thrust to the forefront.

Netflix CEO Reed Hastings has not attempted to hide the fact that he wants his company to gain access to HBO’s vault of programming – both the films and HBO’s high-demand original programming. HBO Co-President Eric Kessler isn’t hiding his views either. He enjoys the exclusivity HBO currently has and doesn’t plan on sharing with Netflix.

The refusal to strike a deal with Netflix signifies HBO’s strong commitment to its upcoming online service, HBO Go. In the midst of the news that it is retaining online streaming rights exclusivity, HBO announced that HBO Go would also be made available on the iPad. HBO Go had previously been launched as an option for HBO subscribers through all major cable systems at no additional cost. HBO Go will provide 800 hours a month of HBO programming that can be viewed on a long list of online devices – a list that now includes the iPad.

HBO is hoping that the combination of its exclusivity deals, original programming, and availability on the iPad will turn HBO Go into a big winner. By being the sole provider of so much prime content, and by opening new options for viewing, HBO Go has a selling point that Netflix does not. Netflix was hoping for a partnership, but HBO sees this as more of a competition and is hanging on to its whole arsenal.

Not-So-Smooth Sailing for iAd

Apple’s Ad Service Off to Bumpy Start [WSJ]

Back on July 1, Apple launched its mobile advertising service, iAd. Since making its debut, iAd has been slow to catch on, with only two big ad campaigns running for much of the month of July (Unilever PLC and Nissan Co.). 

Seventeen other companies have launched campaigns, but many have experienced delays in their messages as they familiarize themselves with this new platform. Other delays have been caused by Apple exerting control over much of the creative behind the ads. Apple’s iAd branches away from typical web advertisements by attempting to create a uniform look and feel. While this might be ideal for users, it’s creating problems for ad developers, with several noting that the creation process for iAd takes much longer than development for other ads, including other mobile ads. 

Apple’s iAd is revolutionary in the way it allows ads to appear within apps without requiring the user to close the app to follow the ad. It also allows a potential source of income for free app developers. But, Apple has yet to release an ad developer kit for agencies and companies interested in the new units. Apple iOS developers can get access to the development framework through the iOS SDK. It will be interesting to see if Apple’s tight watch over the creative hinders their progress in the mobile advertising market, especially as other services (namely Google’s AdMob) work their way into the emerging mobile ad market.

MSI Reveals Photos of First Microsoft 7 Tablet

MSI’s 10-inch WindPad 100 advances past prototype stage, gets pictured with a dock [Engadget]

Microsoft CEO Steve Ballmer announced that a Windows 7 tablet would be a reality almost a month ago, and until recently there was not much to show for that statement (other than some very early stage prototypes). However, MSI has offered up something more and has unveiled pictures of an actual device.

The WindPad 100 is the device that MSI had previously introduced in prototype form, and will offer 32GB storage capacity, 1.66GHz Atom Z530 processor, and HDMI. It will also have the Wind Touch UI layer over the top of Windows 7 Home Premium. It’s expected that the device will be priced at roughly $499.

The WindPad 100 will enter the market about the same time as several other Windows and Android OS tablets, all designed to take on Apple's iPad. Gizmodo reports that as many as 32 iPad-like devices are set to hit the market this year. Users will have a choice of operating systems that include RIM's BlackBerry OS and HP's Palm WebOS.

British television network displeased with Apple iTV name

Reports: Apple won't get 'iTV' without a fight [CNET News]

Early word last week about Apple's plans to bring iOS to a television set-top called iTV was greeted with enthusiasm by users looking for a substantial upgrade to Apple TV, but it wasn't well received by British television network ITV. The network owns the ITV trademark in the U.K., and it isn't interested in any brand confusion with an Apple device. The network's director of communications indicated that ITV has defended its name identity in the past, and that Apple's decision to re-name the Apple TV to iTV would "muddy the waters."

Of course, followers of Apple's digital media products know this isn't the first time that Apple has run afoul of a British company with a variation of their name. In 2007, Apple settled a dispute with Apple Corps, owners of the Beatles music catalog, over their names and Apple's decision to enter the music business. Apple had settled the dispute in 1981, by agreeing not to enter the music business. Their iTunes application changed that, and required a new agreement to be struck.

For now, Apple is not commenting on whether the new product will be named iTV.

CableLabs amends OCUR to provide for multiple tuner sharing to HTPCs

CableLabs Approves Tuner Sharing and DRM Free Copy Freely Content [Digital Media Zone]

Owners of CableCARD equipped multiple tuners for their PC will now have the option of sharing the tuners out to as many as four home theater PCs at the same time. CableLabs, the cable industry's research and development consortium, is amending the OCUR (Open Cable Unidirectional Receiver) specification to provide viewers with these tuners - like the Ceton InfiniTV4 - the ability to push video content to other PCs within a home. Now, a single computer can provide video to multiple Media Center PCs.

Users can expect a firmware update that will allow for the tuner sharing. CableLabs has also approved DRM Free Copy Freely content, which means that Microsoft Media Center won't be the only way to watch content that is unencrypted and marked Copy Freely.

Time Warner Cable demos iPad app

Time Warner iPad app to offer on-demand shows [CNET News]

Following up on news earlier this week that Cablevision is bringing cable programming to the Apple iPad, Time Warner Cable is previewing their own iPad application. Via a YouTube video, Jason Gaedtke, the cable operator's vice president of web services, demonstrated the application displaying a channel lineup and schedule. Pressing another channel on the iPad turned the channel on a television in the room. From the application's schedule matrix, users can also schedule DVR recordings. 

The app also connects to streaming video content made available by programmers to view on the device. In the future, Time Warner Cable wants to give its customers the ability to begin watching a show on their television, pause it and finish watching it on the iPad. They also want to create an API for other programmers to push content to the application.

Right now, there's not a scheduled date of release or name for Time Warner Cable's iPad app, but given the usability of the app in the demonstration, it looks like it may hit the App Store soon.